157 Meters Of 1.75 Grams Per Tonne Gold At Spring Valley Project

DENVER - Midway Gold Corp. reported continuing progress by Barrick Gold Exploration Inc., which is earning into Midway's Spring Valley Project, Nevada. Multiple holes have long intercepts with good grades which include shorter sections with higher grades.

Ken Brunk, Midway's President and CEO said , We are very pleased with Barrick's continued progress at our Spring Valley project. The exploration phase of this years program continues to show growth potential, particularly in the north, as well as identifying new targets. Emphasis is now shifting to complete this years Project Development program in support of an initial economic evaluation. Barrick continues to fund its earn-in requirement ahead of schedule. "

Barrick has two drill rigs operating on the property and has completed 6,035 meters of reverse circulation and 2,970 meters of core drilling during the second quarter. The map below shows locations for drill holes. Exploration drilling is focused on step-out drilling to the south of the defined resource and in-fill drilling in the resource area to convert and expand resource areas into higher confidence categories. Additional surface work continues to identify exploration targets beyond known resource areas.

Development drilling is gathering metallurgical, hydrological and geotechnical data for a scoping-level economic evaluation. Hydrology studies are underway and geotechnical drilling will follow. A second round of metallurgical testwork is expected to begin later this year.

Barrick budgeted $11.5 million in 2012 for work at Spring Valley. This amount is $3.5 million, or more than 43%, above the minimum expenditure level that Barrick must spend to maintain its earn-in schedule. Barrick has the right to earn a 60% interest in the project by completing expenditures totaling US$30 million before December 31, 2013.